(1)The Schedule to the Compensation Act 2006 (claims management regulations) is amended as set out in subsections (2) and (3).
(2)The provision in paragraph 7 becomes sub-paragraph (1) of that paragraph.
(3)In paragraph 7, after sub-paragraph (1) insert—
“(2)The fees that may be charged by the Regulator by virtue of sub-paragraph (1) include fees in respect of costs incurred by the Regulator for the purposes of meeting any leviable OLC expenditure.”
(4)The Legal Services Act 2007 is amended as set out in subsections (5) and (6).
(5)After section 174 insert—
(1)This section has effect at any time when no person is designated under section 5(1) of the Compensation Act 2006 (the Regulator in relation to claims management services).
(2)In determining the leviable OLC expenditure for the purposes of section 173, any expenditure incurred, or income received, by the OLC in connection with the exercise of its functions in relation to claims management services is to be disregarded.
(3)The Lord Chancellor may by regulations charge periodic fees for authorised persons for the purposes of meeting any costs incurred by the Lord Chancellor in respect of relevant OLC expenditure.
(4)“Relevant OLC expenditure” means the difference between—
(a)any expenditure of the OLC incurred in connection with the exercise of its functions in relation to claims management services, and
(b)the aggregate of the amounts which the OLC pays into the Consolidated Fund under section 175(1)(g), (h) or (n), so far as relating to the exercise of its functions in relation to such services.
(5)Regulations made under subsection (3) may, in particular—
(a)permit the charging of different fees for different cases or circumstances (which may, in particular, be defined wholly or partly by reference to turnover or other criteria relating to an authorised person’s business);
(b)enable the person exercising functions of the Regulator under section 5(9) of the Compensation Act 2006 to collect fees on behalf of the Lord Chancellor;
(c)specify the consequences of failure to pay fees (which may include anything which could be specified in regulations under section 9 of that Act as a consequence of a failure to pay fees charged under those regulations).
(6)In this section “authorised person” and “claims management services” have the same meaning as in Part 2 of the Compensation Act 2006 (see section 4 of that Act).”
(6)In section 206 (Parliamentary control of orders and regulations), in subsection (4), after paragraph (o) insert—
“(oa)section 174A(3) (power to charge fees on persons providing claims management services);”.